Shortline official convicted of insurance fraud in New Jersey

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Morristown & Erie Alco C424 No. 18 rolls through Morris Plains, N.J., in October 2015. A New Jersey jury convicted former chief operating officer Gordon Fuller for filing fraudulent insurance claims on behalf of the railroad.
Justin Franz
MORRISTOWN, N.J. — A former Morristown & Erie railroad executive has been convicted in an insurance scam totaling some $75,000.

Gordon Fuller, 76, formerly served as the chief operating officer of the Morristown & Erie Railway. A jury found him guilty of second conspiracy, insurance fraud, attempted theft by deception, and falsifying or tampering with records.

The charges relate to a 2005 incident in which Fuller exaggerated an insurance claim after a truck damaged a switch on the railroad's property. New Jersey Manufacturers, the insurance company contracted by the paper company that owned the truck involved in the incident, alerted the Morris County Prosecutor's Office after they learned that the Fuller falsely claimed on behalf of the railroad that the damaged switch had caused a derailment. Much of the repairs listed on the work order invoice had been falsified.

Fuller's sentencing is scheduled for Nov. 30.

Fuller and a former M&E project manager, Willard Phillips, 65, have also been charged with attempting to defraud the New Jersey Department of Transportation of $800,000. The pending charges allege that the two men submitted applications to be reimbursed for work that was never performed.

See the original story online.
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